Prague Economic Papers 2011, 20(3):250-267 | DOI: 10.18267/j.pep.399

Threshold Effectiveness in Contributing to the Public Goods: Experiments Involving Czech Students

Jiří ©palek, Zuzana Berná
Faculty of Economics and Administration, Masaryk University Brno, Czech Republic.

Voluntary contribution mechanism to public goods is one of the traditional types of economic experiments. The article summarizes the results of series of experiments that have been conducted with several groups of Czech university students. Using the threshold mechanism the impact of several factors (experience, communication and the form of experiment) on voluntary contribution to public goods is tested. The results confirm, to a great extent, findings published by foreign studies. The results show that Czech students also do not behave consistently with the traditional economic public goods model, i.e. they cooperate voluntarily in situations that favour free riding. Threshold is a traditional part of (mostly American) charitable collections and can be regarded as one of the most successful modifications of the voluntary contribution mechanism to public good. Experiments involving Czech students indicate that such technique can be successful even in Czech non-profit sector.

Keywords: game theory, public goods, experimental economics, threshold, charitable giving
JEL classification: C72, D70, H41

Published: January 1, 2011  Show citation

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©palek, J., & Berná, Z. (2011). Threshold Effectiveness in Contributing to the Public Goods: Experiments Involving Czech Students. Prague Economic Papers, 20(3), 250-267. doi: 10.18267/j.pep.399
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